Modernize healthcare procurement strategy

Balancing a healthcare organization's budget can often feel like a constantly moving target. With stretched staff, fluctuating costs, and unpredictable supply chain hiccups, managing revenue and expenses becomes a significant challenge. As each purchase directly impacts financial health, procurement functions are receiving increased scrutiny from executive leaders. Relying on simply placing orders and hoping for timely supply delivery is not sufficient. A thoughtful, strategic approach to purchasing is essential.

Personal shopping in daily life is typically fast and seamless. Items are found, options compared, and checkout is just a few clicks away. Bringing that same ease to healthcare purchasing, but with the control needed for enterprise operations, has become increasingly important. When reevaluating procurement strategy, priority often centers on three areas: cost reduction, streamlined purchasing, and complete spend visibility. With Bulk Spend solutions, Amazon Business supports healthcare organizations in achieving all these essential goals together.

Reduce costs in healthcare supply chains

Traditional healthcare supply chains and supply sources often aren’t as agile or responsive as the industry needs them to be. With Amazon Business, healthcare organizations can consolidate their purchases through a single channel, saving time and energy for patient care. You can get access to a large number of suppliers and get quantity discounts on thousands of products. Access eligible products across categories with quantity discounts and bulk suppliers who compete to offer competitive pricing. “Amazon Business has solved so many problems for us. The sheer amount and range of inventory meets our challenge of getting what we need, when we need it. The staff and the residents love this because now they have the freedom to plan activities the way they want to with the supplies they really want. It saves us time and money simultaneously.” Kevin Turner, Vice President of Supply Chain, Five Star Senior Living
 

More savings are often available on high-volume purchases with the Request for Quote
 

Any single-product, one-time purchase > $10,000 or 999 units that requires custom pricing and/or additional inventory than listed on Amazon Business. A quote can be requested using our Request for Quote (RFQ) tool. When buying in bulk, the RFQ tool can help when:
 

• You need more inventory than what’s available on Amazon Business
• You expect a better price or a bulk discount when buying in volume
• You need specific B2B selection (pack sizes/pallets/product assortment
   

Streamline purchasing for healthcare organizations

When healthcare leaders are constantly asked to do more with less, increasing operational efficiencies has become top of mind. The need for agility calls for simplified, smart procurement. Digitizing your supply chain can’t wait for another public health crisis. Automating processes such as product identification and workflow approvals can improve inefficient, manual processes to allow buyers to focus on more high-value work. Empower your staff from nurses to admins to make guided purchasing within guardrails; use Business Lists for frequently purchased items and manage employee spending with Guided Buying. Meanwhile, the central procurement team can create Buying Policies within the shopping experience to meet your criteria. Direct your team to Preferred Products or Preferred Suppliers. Steer them away from Restricted Categories. Apply Spending limits for product categories.

Of course, ease of ordering is nothing without dependable shipping — and Amazon Business gives you both. Eligible orders will show up at your locations quickly and reliably. Don’t wait days (or weeks) for your supplies to get to you — you can choose a cadence for recurring delivery or select one day of the week to receive eligible ordered items with Amazon Day, a Business Prime feature. You can also have orders shipped to multiple locations with Personalized Delivery Options.  
 

Spend transparency in healthcare

Short-term cost reduction is simply not enough; healthcare leaders are proactively looking for long-term cost saving opportunities. Data, unlocked from digital transformation, can empower even the most risk averse. A central channel of data is a stark contrast to a fractured and incomplete data landscape. For example, with tools like Amazon Business analytics and custom order fields, you can quickly drill data into insights you might not see with traditional reporting methods.

According to Mary Alexander, Chief of Staff and VP of Business Development at Home Instead, a Nebraska-based home care service company that provides personalized, home care to seniors, Amazon Business adds value to procurement by identifying buying trends across their franchises with clear, real-time reporting, which isn't something Home Instead previously had access to. These insights are now used to inform better, data-driven purchasing decisions. "The reporting and analytics allow us to see what our locations are purchasing," Alexander describes. "With a holistic view on purchasing, our Amazon Business advisor helps us understand how we can be more efficient and save more money."

Future of healthcare procurement

Healthcare procurement may always present challenges, but adopting more intuitive and streamlined approaches can ease the process and unlock new possibilities. With flexible, smart tools and greater spending insight, procurement and supply chain teams are better positioned to create positive change and pursue smarter spending strategies. Even small improvements in processes and visibility can support more efficient operations and help ensure staff can remain focused on delivering quality patient care. As the landscape evolves, taking steps toward more strategic procurement can make a meaningful impact across healthcare organizations.